Solutions should not be more complicated than the problems they are trying to solve!

In an effort to maximize profitability, TransportGistics, a transportation management application service provider, has been working with retailers and suppliers to control the negative costs of reverse logistics. 

According to Alan Miller, president of TransportGistics, Inc., “Fewer than one third of web merchants and an equally low number of traditional retailers have front-end systems for handling outgoing orders, much less for handling returns. Returns for any reason, impact sales, inventory, overhead, and transportation costs in ways that are not easily projected in terms of cash flow and profitability.”

TransportGistics method of approach is an empowering, Internet-enabled supply chain utility that transforms the cost-hungry process of reverse logistics into superior customer service as it substantially reduces cost and exposure to a company’s ROI.

RoutingGuides.com can be accessed through the company’s web site. This enabling tool allows companies to effectively manage returned merchandise and limit the negative bottom-line affect. It improves and speeds up communications between shippers, carriers, and consignees, and enables companies to issue electronic return authorizations and replace slow-moving paper documents with electronic Advance Shipment Notifications (ASN), Bills of Lading, tracing, tracking and a host of management reports.

Implementation opens a door to a world of valuable information. “That information can reduce the overall cost of returns up to 73 percent,” says Miller. “By integrating business rules into the automated rules engine, merchants can reduce the cost of expensive call centers, order look-up, data entry, return authorization, redundant shipping, and related costs.”

Trading partners need to communicate effectively and efficiently to preclude questions and problems that cause many returns from taking place. Accepting the fact that returns do occur, TransportGistics provides a link that enables trading partners to communicate and facilitate the entire process automatically.

“Returns are expensive,” says Miller. “They tie up resources and lower profit margins. Profit eroding, sub-optimal decisions are made because of the space between events when reverse logistics is omitted from decisions affecting supply chain management. RoutingGuides.com will eliminate the space between events, achieve effective and efficient communications and facilitate all of the attendant processes.

Disclaimer

The information presented herein represents the opinion of the author(s) but not necessarily the opinion of TransportGistics, Inc. nor is it presented as a legal position or opinion.

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